Spouse super contributions & the $540 tax offset
A spouse contribution is after-tax money you pay into your partner’s super. If their income is low enough, you can claim a tax offset of up to $540 on your own return — a simple way to grow a lower-income spouse’s retirement savings and trim your joint tax bill. This factsheet explains how the offset works (with an interactive calculator), how to claim it, how spouse contributions differ from contribution splitting, the caps and total-super-balance rules, and how couples use these together.
English & Chinese PDF versions of this factsheet are available on request — please contact us.
* General information only. Kristy Pan & Co. provides this material for general knowledge; it does not constitute tax or financial advice and does not take account of your specific circumstances. This information is current as at 22 June 2026; we will do our best to update it when any policy or legislation changes. Please contact us before acting.
What a spouse contribution is
It is an after-tax (non-concessional) contribution you make into your spouse’s super account, from your own money. It is not tax-deductible to you — instead, if your spouse is on a low income, it may entitle you to a tax offset on your return. The amount counts towards your spouse’s non-concessional contributions cap, not yours.
Your after-tax money
You pay from money you have already paid tax on — not salary sacrifice and not claimed as a deduction.
Into their fund
It lands in your spouse’s super, in their name, and counts towards their non-concessional cap.
Maybe an offset for you
If your spouse’s income is low enough, you can claim up to a $540 tax offset on your own return.
Who can claim the $540 offset — the six conditions
These are the ATO’s eligibility conditions for the spouse tax offset. All six must be met for the year — miss any one and the offset is not available (you can still make the contribution). Tick what is true to self-check — nothing here is saved or sent.
Spouse-offset eligibility
Tick the ones that apply.
How the $540 offset works
The offset is 18% of the eligible contribution, capped at $540 a year. You get the full $540 if your spouse’s income is $37,000 or less and you contribute at least $3,000 (18% × $3,000 = $540). Between $37,000 and $40,000 the eligible amount tapers — the $3,000 maximum reduces by $1 for every $1 of income over $37,000, reaching zero at $40,000.
Spouse contribution tax-offset calculator
“Income” means assessable income + reportable fringe benefits + reportable employer super contributions.
Indicative only. The offset is 18% of the lesser of (a) $3,000 reduced by any income over $37,000, and (b) the contributions you actually made. It does not check your spouse’s total super balance or remaining non-concessional cap — we confirm those before anything is done.
The calculation, in one line
Offset = 18% × the lesser of [ $3,000 − income over $37,000 ] and [ your total spouse contributions ] — capped at $540.
Worked examples
| Spouse income | You contribute | Eligible amount | Your offset (18%) |
|---|---|---|---|
| $30,000 | $3,000 | $3,000 | $540 — full offset |
| $37,000 | $3,000 | $3,000 | $540 — full offset (top of the band) |
| $38,500 | $3,000 | $1,500 | $270 — tapered ($3,000 − $1,500) |
| $40,000+ | any | $0 | $0 — no offset |
| $25,000 | $1,000 | $1,000 | $180 — limited by the smaller contribution |
How to claim it on your tax return
The offset is claimed in your own tax return, at item T3 — “Superannuation contributions on behalf of your spouse”. It is a tax offset, not a deduction, so it sits in the offsets section — not with the personal-super-contribution deduction (item D12). In myTax the software then calculates the offset for you.
It is a tax offset (T3) — not a deduction.
You do not enter it as a deduction. In myTax it lives under “You are claiming tax offsets or adjustments” → Other tax offsets → Super contributions on behalf of your spouse.”
Step by step in myTax
- At Personalise return, answer Yes to “Did you have a spouse at any time between 1 July and 30 June?”, and tick Other tax offsets.
- In the Offsets section, select Add/Edit and open “Super contributions on behalf of your spouse”.
- Enter your spouse’s assessable income, reportable fringe benefits, and reportable employer super contributions.
- Enter the total spouse contributions you paid for the year.
- myTax calculates the offset automatically (up to $540) and shows it in the Offsets section. Save and continue.
Using a tax agent or other software? Tell them you made spouse contributions and give them the total contributed plus your spouse’s income, RFB and reportable employer super — they complete the same T3 spouse-offset schedule and the calculation is identical. Keep your bank receipt and the fund’s confirmation in case the ATO asks for evidence later.
Spouse contributions vs contribution splitting
Both move super towards your partner, but they are different strategies. A spouse contribution is new after-tax money you pay into your spouse’s fund (and may give you the offset). Contribution splitting is transferring part of your own before-tax (concessional) contributions across to their account after they have been made. You can use both — but they have different tax effects, caps and timing.
| Feature | Spouse contribution | Contribution splitting |
|---|---|---|
| Source of money | Your after-tax personal money | Your concessional (before-tax) contributions |
| Whose cap it counts against | Spouse’s non-concessional cap | Your concessional cap (still counts to you) |
| Immediate tax benefit to you | Possible 18% offset, up to $540 (if eligible) | No extra offset — the benefit was the 15% concessional treatment when it went in |
| How much | Any amount within the spouse’s cap ($3,000 attracts the full offset) | Up to 85% of the prior year’s concessional contributions |
| When it happens | Any time during the year (subject to fund rules) | Usually after year-end, splitting the prior year’s contributions via an ATO form |
| What moves | New money from outside super into the spouse’s fund | Existing super already in your account is rolled to the spouse |
85%, and the receiving spouse’s age matters.
You can split up to 85% of taxed splittable contributions — employer SG, salary sacrifice and personal deductible contributions (the 85% reflects the 15% contributions tax). You apply to your fund using the ATO splitting form, generally in the year after the contributions were made. The receiving spouse must be under their preservation age, or between preservation age and 65 and not retired. Importantly, the split still counts toward your concessional cap — splitting does not free up cap room.
Contribution caps & total super balance
Contribution caps are the annual limits on how much can go into super before extra tax applies. Your total super balance (TSB) is the ATO’s snapshot of everything you already hold in super at 30 June — and it controls how generous those caps are for you. Put simply: caps are “how much you can add this year”; TSB is “how big your pot already is”, and the second heavily affects the first.
| Cap / threshold (2025–26) | Amount | Notes |
|---|---|---|
| Concessional (before-tax) cap | $30,000 | Employer SG, salary sacrifice, personal deductible — generally taxed 15% in the fund. |
| Non-concessional (after-tax) cap | $120,000 | After-tax top-ups and spouse contributions. Nil if TSB ≥ $2.0m at the prior 30 June. |
| Bring-forward (under 75) | up to $360,000 | Up to 3 years’ non-concessional cap at once — full $360k if TSB was under $1.76m at 30 June 2025. |
| Carry-forward concessional | TSB < $500,000 | If your TSB was under $500,000 at the prior 30 June, use unused concessional cap from up to 5 earlier years. |
A high spouse balance can switch the offset off.
A spouse contribution counts towards the recipient spouse’s non-concessional cap — and you generally can’t claim the offset if their TSB was at or above the general transfer balance cap ($2.0m for 2025–26) at the prior 30 June, or if they have already maxed out their non-concessional cap. Two people on the same income can have very different room to contribute, depending on how large their existing super is. Caps and thresholds are indexed — always confirm the current year’s figures.
Strategies for couples to balance super
Used well, these tools help couples even up their super over time — which can matter for tax in retirement, for using two transfer balance caps, and for estate and pension planning.
Boost a low-income spouse
Top up a lower-income or part-time spouse’s super and pick up the offset at the same time.
Use their cap room
Use the lower-balance spouse’s non-concessional cap to grow their account and even up retirement savings.
Equalise for two caps
Re-balance super between partners to make the most of two transfer balance caps in pension phase.
Shift to a younger spouse
Move super toward a younger spouse via splitting to manage when funds can be accessed.
Yes — they stack.
For example, you might salary-sacrifice into your own super and then split up to 85% of those concessional contributions to your spouse after year-end — and also make an after-tax spouse contribution to pick up the offset if they are on a low income, as long as all cap and eligibility rules are met. The right mix depends on your ages, incomes and balances.
How we help
We confirm your spouse’s offset eligibility (income, age, residency, total super balance and remaining cap), work out the contribution that targets the offset without breaching their cap, complete item T3 in your return, and — alongside your licensed financial adviser — model whether spouse contributions, contribution splitting, or both are the better fit for your ages, incomes and balances.
Glossary of terms
- Non-concessional contribution
- An after-tax contribution to super for which no deduction is claimed. Spouse contributions are non-concessional and count towards the receiving spouse’s cap (currently $120,000 a year, or up to $360,000 under the bring-forward rule).
- Concessional contribution
- A before-tax contribution — employer super guarantee, salary sacrifice, or personal contributions you claim as a deduction — generally taxed at 15% in the fund. Capped at $30,000 for 2025–26.
- Contribution splitting
- Transferring up to 85% of a year’s concessional contributions from your super to your spouse’s account, by lodging the ATO splitting form with your fund. The split still counts towards your concessional cap.
- Total super balance (TSB)
- The ATO’s total of all your super interests at 30 June. It determines whether you can make non-concessional contributions, use the bring-forward or carry-forward rules, and start a pension within the transfer balance cap.
- Reportable fringe benefits (RFBA)
- The grossed-up value of certain fringe benefits shown on an income statement. Counted in the income test for the spouse offset.
- Reportable employer super contributions (RESC)
- Extra employer contributions you can influence, such as salary sacrifice. Counted in the income test for the spouse offset.
- TFN
- Tax file number. A super fund must hold the member’s TFN before it can accept certain contributions, including spouse contributions.
- ATO
- The Australian Taxation Office — the federal agency that administers tax and superannuation.
This factsheet contains general information only, summarised from publicly available ATO guidance and the superannuation and tax law. The calculator and examples are simplified illustrations, not a precise calculation, and figures (caps, rates, thresholds) are indexed and can change. It does not take into account your circumstances and is not personal tax or financial product advice. Please consult Kristy Pan & Co. — and, for the contribution decision itself, a licensed financial adviser — and confirm your eligibility before acting.